Assume that Economy A and Economy B have the same resources, but that individuals in Economy A have specialized whereas individuals in Economy B have not. Given this information, you can determine that
A) Economy A will have a higher output than Economy B.
B) Economy A will have a lower output than Economy B.
C) Economy A and Economy B will have identical outputs.
D) individuals in Economy A will have lower incomes than individuals in Economy B.
Answer: A
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If, in the market for money, the amount of money supplied exceeds the amount of money households and businesses want to hold, the interest rate will
A. fall, causing households and businesses to hold less money. B. rise, causing households and businesses to hold more money. C. fall, causing households and businesses to hold more money. D. rise, causing households and businesses to hold less money.
A corporation's management
A) hires the board of directors. B) is liable for the corporation's debts. C) owns the corporation. D) operates and controls a corporation in its day-to-day activities.
Remember the story in the text? Determine which is the most reasonable conclusion to the following scenario: Suppose Brian Moseley, watching David Letterman on TV one night, sees a Rock Classics commercial for five Billy Bragg CDs and decides to get them. He writes a check for $49.95 on his bank, the First National Bank of Cincinnati, and mails the check to Rock Classics in Athens, Georgia. Brian
Moseley a. will never receive his CDs because checks are not allowed to cross Fed districts b. will have to wait several months for the Atlanta Fed to consult with the Cleveland Fed to see if he is creditworthy c. will likely receive his CDs in a timely fashion after his check goes through Rock Classics, the First National Bank of Cincinnati, the First National Bank of Athens,the Atlanta Fed, and the Cleveland Fed d. must personally contact the Atlanta Fed to make them aware that they will have an upcoming transaction of less than $100 with the Cleveland Fed e. must cancel his check and try a credit card order because of the lack of security between Federal Reserve Banks
Assume a certain competitive price-taker firm is producing Q = 1,000 units of output. At Q = 1,000 . the firm's marginal cost equals $15 and its average total cost equals $11 . The firm sells its output for $12 per unit. At Q = 999, the firm's total cost amounts to
a. $10,985. b. $10,990. c. $10,995. d. $10,999.